IDEAS home Printed from https://ideas.repec.org/a/eee/soceps/v87y2023ipbs0038012123000654.html
   My bibliography  Save this article

Resolving operational paradox of sustainable supply chain: A decision framework approach

Author

Listed:
  • Sharma, Varun
  • Vijayaraghavan, T.A.S.
  • Raghu Ram, Tata L.

Abstract

This study helps to reconcile the trade-offs between sustainable supply chain management (SSCM) and operational performance. Inspired by the paradox theory, the study advocates avoiding the contradictory elements and accepting the complementary elements between SSCM and Operational Performance. Accordingly, the study identifies various SSCM and operational performance elements followed by their evaluation to understand their complementary and contradictory nature. The study is conducted in two stages. First, the study constructs a list of SSCM features through exploratory factor analysis. Second, a unique decision framework of MACBETH (Measuring Attractiveness by Categorical-Based Evaluation Technique) and TODIM (Tomada de Decisión Inerativa Multicritero) methods is used to evaluate the SSCM features based on their impact on operational performance criteria. The proposed framework is validated in the context of the Indian Automobile Industry. The study results provide an empirically validated and prioritized list of SSCM features. In the list, the top-ranked features complement the operational performance criteria. In contrast, the lower-ranked features compromise the operational criteria, at least in the short term. Thus, this study reduces the skepticism around the adoption of SSCM by focusing on the top-ranked features of the list and avoiding the lower-ranked features during the early phases of SSCM adoption. Additionally, the study provides guidance to supply chain managers on achieving sustainability in a supply chain without compromising on its traditional goals. The results are of practical importance as supply chain managers may now choose to implement specific SSCM features that exhibit minimum negative impact on operational performance. Consequently, the study encourages an assertive adoption of SSCM even in developing countries.

Suggested Citation

  • Sharma, Varun & Vijayaraghavan, T.A.S. & Raghu Ram, Tata L., 2023. "Resolving operational paradox of sustainable supply chain: A decision framework approach," Socio-Economic Planning Sciences, Elsevier, vol. 87(PB).
  • Handle: RePEc:eee:soceps:v:87:y:2023:i:pb:s0038012123000654
    DOI: 10.1016/j.seps.2023.101565
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0038012123000654
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.seps.2023.101565?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. de Brito, Marisa P. & Carbone, Valentina & Blanquart, Corinne Meunier, 2008. "Towards a sustainable fashion retail supply chain in Europe: Organisation and performance," International Journal of Production Economics, Elsevier, vol. 114(2), pages 534-553, August.
    2. Beske, Philip & Land, Anna & Seuring, Stefan, 2014. "Sustainable supply chain management practices and dynamic capabilities in the food industry: A critical analysis of the literature," International Journal of Production Economics, Elsevier, vol. 152(C), pages 131-143.
    3. Fernando A. F. Ferreira & Sérgio P. Santos, 2021. "Two decades on the MACBETH approach: a bibliometric analysis," Annals of Operations Research, Springer, vol. 296(1), pages 901-925, January.
    4. M. de Brito & V. Carbone & C. Blanquart, 2008. "Towards a sustainable fashion retail supply chain in Europe:Organisation and performance," Post-Print hal-00506351, HAL.
    5. Omid Narimissa & Ali Kangarani‐Farahani & Saber Molla‐Alizadeh‐Zavardehi, 2020. "Evaluation of sustainable supply chain management performance: Dimensions and aspects," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(1), pages 1-12, January.
    6. Esfahbodi, Ali & Zhang, Yufeng & Watson, Glyn, 2016. "Sustainable supply chain management in emerging economies: Trade-offs between environmental and cost performance," International Journal of Production Economics, Elsevier, vol. 181(PB), pages 350-366.
    7. Erik Siems & Stefan Seuring, 2021. "Stakeholder management in sustainable supply chains: A case study of the bioenergy industry," Business Strategy and the Environment, Wiley Blackwell, vol. 30(7), pages 3105-3119, November.
    8. Ans Kolk, 2012. "Towards a Sustainable Coffee Market: Paradoxes Faced by a Multinational Company," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 19(2), pages 79-89, March.
    9. Roland Somlai, 2022. "Integrating decision support tools into businesses for sustainable development: A paradoxical approach to address the food waste challenge," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1607-1622, May.
    10. Paolo Taticchi & Patrizia Garengo & Sai S. Nudurupati & Flavio Tonelli & Roberto Pasqualino, 2015. "A review of decision-support tools and performance measurement and sustainable supply chain management," International Journal of Production Research, Taylor & Francis Journals, vol. 53(21), pages 6473-6494, November.
    11. Devendra Kumar Pathak & Lakshman S. Thakur & Shams Rahman, 2019. "Performance evaluation framework for sustainable freight transportation systems," International Journal of Production Research, Taylor & Francis Journals, vol. 57(19), pages 6202-6222, October.
    12. Silvestre, Bruno S., 2015. "Sustainable supply chain management in emerging economies: Environmental turbulence, institutional voids and sustainability trajectories," International Journal of Production Economics, Elsevier, vol. 167(C), pages 156-169.
    13. Song-Man Wu & Hu-Chen Liu & Li-En Wang, 2017. "Hesitant fuzzy integrated MCDM approach for quality function deployment: a case study in electric vehicle," International Journal of Production Research, Taylor & Francis Journals, vol. 55(15), pages 4436-4449, August.
    14. Sunil Luthra & Anil Kumar & Edmundas Kazimieras Zavadskas & Sachin Kumar Mangla & Jose Arturo Garza-Reyes, 2020. "Industry 4.0 as an enabler of sustainability diffusion in supply chain: an analysis of influential strength of drivers in an emerging economy," International Journal of Production Research, Taylor & Francis Journals, vol. 58(5), pages 1505-1521, March.
    15. Zailani, Suhaiza & Jeyaraman, K. & Vengadasan, G. & Premkumar, R., 2012. "Sustainable supply chain management (SSCM) in Malaysia: A survey," International Journal of Production Economics, Elsevier, vol. 140(1), pages 330-340.
    16. Md. Abdul Moktadir & Ashish Dwivedi & Akib Rahman & Charbel Jose Chiappetta Jabbour & Sanjoy Kumar Paul & Razia Sultana & Jitender Madaan, 2020. "An investigation of key performance indicators for operational excellence towards sustainability in the leather products industry," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3331-3351, December.
    17. Reiner, Gerald & Gold, Stefan & Hahn, Rüdiger, 2015. "Wealth and health at the Base of the Pyramid: Modelling trade-offs and complementarities for fast moving dairy product case," International Journal of Production Economics, Elsevier, vol. 170(PB), pages 413-421.
    18. Sarah Birrell Ivory & Simon Bentley Brooks, 2018. "Managing Corporate Sustainability with a Paradoxical Lens: Lessons from Strategic Agility," Journal of Business Ethics, Springer, vol. 148(2), pages 347-361, March.
    19. Tobias Hahn & Frank Figge & Jonatan Pinkse & Lutz Preuss, 2018. "A Paradox Perspective on Corporate Sustainability: Descriptive, Instrumental, and Normative Aspects," Journal of Business Ethics, Springer, vol. 148(2), pages 235-248, March.
    20. Yih-Chang Ou, 2016. "Using a Hybrid Decision-Making Model to Evaluate the Sustainable Development Performance of High-Tech Listed Companies," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 17(3), pages 331-346, June.
    21. Miguel F. Salvado & Susana G. Azevedo & João C. O. Matias & Luís M. Ferreira, 2015. "Proposal of a Sustainability Index for the Automotive Industry," Sustainability, MDPI, vol. 7(2), pages 1-32, February.
    22. Sarah Birrell Ivory & Simon Bentley Brooks, 2018. "Erratum to: Managing Corporate Sustainability with a Paradoxical Lens: Lessons from Strategic Agility," Journal of Business Ethics, Springer, vol. 148(2), pages 363-363, March.
    23. Oguz Morali & Cory Searcy, 2013. "A Review of Sustainable Supply Chain Management Practices in Canada," Journal of Business Ethics, Springer, vol. 117(3), pages 635-658, October.
    24. David Wittstruck & Frank Teuteberg, 2012. "Understanding the Success Factors of Sustainable Supply Chain Management: Empirical Evidence from the Electrics and Electronics Industry," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 19(3), pages 141-158, May.
    25. Zaichkowsky, Judith Lynne, 1985. "Measuring the Involvement Construct," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 12(3), pages 341-352, December.
    26. Yu, Min & Cruz, Jose M. & Li, Dong Michelle, 2019. "The sustainable supply chain network competition with environmental tax policies," International Journal of Production Economics, Elsevier, vol. 217(C), pages 218-231.
    27. Esfahbodi, Ali & Zhang, Yufeng & Liu, Yang & Geng, Duanyang, 2023. "The fallacy of profitable green supply chains: The role of green information systems (GIS) in attenuating the sustainability trade-offs," International Journal of Production Economics, Elsevier, vol. 255(C).
    28. Kamble, Sachin S. & Gunasekaran, Angappa & Gawankar, Shradha A., 2020. "Achieving sustainable performance in a data-driven agriculture supply chain: A review for research and applications," International Journal of Production Economics, Elsevier, vol. 219(C), pages 179-194.
    29. Omid Narimissa & Ali Kangarani‐Farahani & Saber Molla‐Alizadeh‐Zavardehi, 2020. "Evaluation of sustainable supply chain management performance: Indicators," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(1), pages 118-131, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ehsan Shekarian & Behrang Ijadi & Amirreza Zare & Jukka Majava, 2022. "Sustainable Supply Chain Management: A Comprehensive Systematic Review of Industrial Practices," Sustainability, MDPI, vol. 14(13), pages 1-30, June.
    2. Rebeca B. Sánchez-Flores & Samantha E. Cruz-Sotelo & Sara Ojeda-Benitez & Ma. Elizabeth Ramírez-Barreto, 2020. "Sustainable Supply Chain Management—A Literature Review on Emerging Economies," Sustainability, MDPI, vol. 12(17), pages 1-27, August.
    3. Bouguerra, Abderaouf & Gölgeci, Ismail & Gligor, David M. & Tatoglu, Ekrem, 2021. "How do agile organizations contribute to environmental collaboration? Evidence from MNEs in Turkey," Journal of International Management, Elsevier, vol. 27(1).
    4. Roy, Vivek & Silvestre, Bruno S. & Singh, Shubham, 2020. "Reactive and proactive pathways to sustainable apparel supply chains: Manufacturer's perspective on stakeholder salience and organizational learning toward responsible management," International Journal of Production Economics, Elsevier, vol. 227(C).
    5. Mejías, Ana M. & Bellas, Roberto & Pardo, Juan E. & Paz, Enrique, 2019. "Traceability management systems and capacity building as new approaches for improving sustainability in the fashion multi-tier supply chain," International Journal of Production Economics, Elsevier, vol. 217(C), pages 143-158.
    6. Yali Lu & Chenyang Zhao & Leimeng Xu & Lei Shen, 2018. "Dual Institutional Pressures, Sustainable Supply Chain Practice and Performance Outcome," Sustainability, MDPI, vol. 10(9), pages 1-25, September.
    7. Dongwook Kim & Sungbum Kim, 2017. "Sustainable Supply Chain Based on News Articles and Sustainability Reports: Text Mining with Leximancer and DICTION," Sustainability, MDPI, vol. 9(6), pages 1-44, June.
    8. Mohsin Malik & Salam Abdallah, 2019. "Sustainability Initiatives in Emerging Economies: A Socio-Cultural Perspective," Sustainability, MDPI, vol. 11(18), pages 1-19, September.
    9. Seles, Bruno Michel Roman Pais & de Sousa Jabbour, Ana Beatriz Lopes & Jabbour, Charbel José Chiappetta & Dangelico, Rosa Maria, 2016. "The green bullwhip effect, the diffusion of green supply chain practices, and institutional pressures: Evidence from the automotive sector," International Journal of Production Economics, Elsevier, vol. 182(C), pages 342-355.
    10. Jonathan Taglialatela & Kevin Pirazzi Maffiola & Roberto Barontini & Francesco Testa, 2023. "Board of Directors' characteristics and environmental SDGs adoption: an international study," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(5), pages 2490-2506, September.
    11. Zhifeng Wu & Senjing Zhai & Jiangtao Hong & Yibin Zhang & Keren Shi, 2018. "Building Sustainable Supply Chains for Organizations Based on QFD: A Case Study," IJERPH, MDPI, vol. 15(12), pages 1-12, December.
    12. Aisma Linda Kiesnere & Rupert J. Baumgartner, 2019. "Sustainability Management in Practice: Organizational Change for Sustainability in Smaller Large-Sized Companies in Austria," Sustainability, MDPI, vol. 11(3), pages 1-40, January.
    13. Nikunj Sachin & R. Rajesh, 2022. "An empirical study of supply chain sustainability with financial performances of Indian firms," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(5), pages 6577-6601, May.
    14. Jingchen Zhao, 2021. "Reimagining Corporate Social Responsibility in the Era of COVID-19: Embedding Resilience and Promoting Corporate Social Competence," Sustainability, MDPI, vol. 13(12), pages 1-28, June.
    15. Jaakko Siltaloppi & Risto Rajala & Henri Hietala, 2021. "Integrating CSR with Business Strategy: A Tension Management Perspective," Journal of Business Ethics, Springer, vol. 174(3), pages 507-527, December.
    16. Luzzini, Davide & Brandon-Jones, Emma & Brandon-Jones, Alistair & Spina, Gianluca, 2015. "From sustainability commitment to performance: The role of intra- and inter-firm collaborative capabilities in the upstream supply chain," International Journal of Production Economics, Elsevier, vol. 165(C), pages 51-63.
    17. Kai-Chong Thong & Wai-Peng Wong, 2018. "Pathways for Sustainable Supply Chain Performance—Evidence from a Developing Country, Malaysia," Sustainability, MDPI, vol. 10(8), pages 1-26, August.
    18. Jay Joseph & Helen Borland & Marc Orlitzky & Adam Lindgreen, 2020. "Seeing Versus Doing: How Businesses Manage Tensions in Pursuit of Sustainability," Journal of Business Ethics, Springer, vol. 164(2), pages 349-370, June.
    19. Céline Louche & Timo Busch & Patricia Crifo & Alfred Marcus, 2019. "Financial Markets and the Transition to a Low-Carbon Economy: Challenging the Dominant Logics," Post-Print hal-02016756, HAL.
    20. Geyi, Dan’Asabe Godwin & Yusuf, Yahaya & Menhat, Masha S. & Abubakar, Tijjani & Ogbuke, Nnamdi J., 2020. "Agile capabilities as necessary conditions for maximising sustainable supply chain performance: An empirical investigation," International Journal of Production Economics, Elsevier, vol. 222(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:soceps:v:87:y:2023:i:pb:s0038012123000654. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/seps .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.